Although it is considered a social network, Facebook can be a great online advertising platform. This is because of Facebook Ads, which enables companies, individuals, and small producers to create and manage media campaigns with different purposes: reaching new people, engaging or increasing traffic to their companies, services, and businesses.
It is important to monitor some metrics while managing campaigns on Facebook Ads, which includes the company’s own platforms, such as Instagram, Messenger, and Audience Network, to evaluate the performance of ads and optimize marketing strategies.
What are metrics?
Metrics are indicators used to evaluate, compare and monitor the performance of processes, activities or products in different areas. In the world of Facebook Ads, they provide objective data that helps to recognize how many people were reached and engaged in certain campaigns, depending on their objective.
Why it’s important to track campaign metrics
In short, tracking the metrics of media campaigns within Facebook Ads is essential to ensure the success and effectiveness of your digital marketing strategies. Performance evaluation, resource optimization, continuous improvement, return on investment measurement, benchmarking, among other reasons, are important to monitor these metrics.
8 Metrics to Understand Facebook Ads
Now that you know how important Facebook Ads campaigns are, it’s also important to understand the metrics used on the platform that make each campaign have a unique goal to achieve. They are essential for evaluating the performance of ads and optimizing your business’s marketing strategies.
1 – Cost per Click (CPC)
Cost per click means the average spend per click made on your advertisement. It’s important because it can help the company evaluate the amount of money needed to attract people to the website or landing page, thus having control over how much budget it needs and for how efficient its campaign is going to be. It is commonly used in campaigns for traffic, that is, when the business needs to guide customers to a certain page so that they perform some action (purchases, registrations, etc.)
2 – Click-Through Rate (CTR)
Also used for traffic campaigns, the click-through rate is a percentage of people who clicked on your ad after seeing it, adding together the click and impression rates. It is important because it indicates the relevance and attractiveness of the ad to the target audience.
3 – Cost per Action (CPA)
It measures the average cost that the advertiser pays for the user to perform a desired action after being reached by the advert. The same may change according to the campaign objectives. The campaign objectives include making a purchase, registration, downloads, among other factors. It is a metric calculated by dividing the total cost of the campaign by the total number of actions performed.
4 – Return on advertising spend (ROAS)
ROAS, the name says it all, as it calculates the value generated by each monetary unit spent on advertising, which gives a clear view of the financial return on campaigns. It’s a way of analyzing concrete data to justify investments in advertising, as well as helping to demonstrate the value of campaigns to stakeholders.
5 – Reach
Also with a self-explanatory name, reach is a metric that is widely used in several campaigns, but there are also campaigns dedicated to it, that is, that use it as the main objective. It is nothing more than the number of unique people who saw the ad, and it is important because it helps to understand how many of them are being impacted by the campaign, giving an idea of the scope of the target audience.
6 – Impressions
Many people end up confusing reach with impressions, however, despite being side by side, impressions are a single metric that shows how many times the ad was displayed. In other words, it indicates how often the ad is being shown, which can help adjust repetition and avoid audience saturation.
7 – Engagement
Engagement is another very important metric that also has campaigns dedicated to it. After all, it shows the total number of user interactions with the ad, including likes, comments, shares and even clicks. High engagement means that the ad has an interest in the content, helping to evaluate the effectiveness of the ad in generating engagement.
8 – Ad relevance
The ad relevance metric, as the name suggests, measures the quality and relevance of your ad to your target audience. Today, it is made up of three new, more detailed metrics: Quality Score, Engagement Rate, and Conversion Rate .